Accounting policy for unfinished production

Authors: 
Storozhuk T.N., Kushnirenko D.I.

In the article the problem of accounting policies of work-in-progress are researched.
Work-in-progress is one of the key objects of accounting because it directly influence on
financial position and financial results of enterprise. Despite the possibility of using
alternatives in accounting and reporting, the problem of accounting policies of work-in-
progress becomes relevant.
In the article theauthors’suggestions in part of isolatingelementsof accounting
policiesregardingwork in progress are summarized. Due attentionis given toestimation of
work-in-progress,which mayhave different versions. The inherency for work-in-progress
characteristics of costs of enterprise and characteristics of inventories of enterprise must be
considered in developing of accounting policies for work-in-progress. Based on this in article
selected elements of accounting policies of work-in-progress are united in three groups:
a) general organizational elements: b) elements as a part of inventories of enterprise;
c) elements as a part of costs of enterprise.
Variety of methods of estimation and alternativeness of accounting reflection of work-in-
progress extend the independence of enterprise and allow it to select the elements of accounting
policies with considering of it influence on financial position and financial results of
activity.The final choice of various positions in accounting policies components for the work-
in-progress should be made considering the peculiarities of the companyactivity.